JokEc - Jokes about Economists and Economics

The original JokEc compiled by Pasi Kuoppamäki in Finland was mirrored in Japan, UK and USA. Now, these sites are not maintained anymore and are often unavailable for some time.

I believe that even Adam Smith would enjoy these jokes.

JokEc is a collection of professional humor for the benefit of economists as
well as non-economists.

1st WWW-edition 24/10/1994 (d/m/y) Update 16/04/2001
Part of the NetEc group since 27/3/1997
Before the 2nd Millennia ended, JokEc had existed for over five years and had some 450,000 hits!
Use the find function for searching. Latest jokes are marked with +

A story of this page was published in the article “Laugher Curve” in Business Week May 8, 1995 issue by William Glasgall

Economics is the only field in which two people can get a Nobel Prize for saying exactly the opposite thing.

Humor is evolving, now we have a refinement:

“Economics is the only field in which
two people can get a Nobel Prize for saying the opposite thing” is true,
but is not strong enough. Better:

“Economics is the only field in which
two people can share a Nobel Prize for saying opposing things.” Specifically,
Myrdal and Hayek shared one.

Roberto Alazar

(A rumor has it that there
was a similar case in neuroscience, Golgi and Cajal, maybe economists are
not so different!)

Heard at the Wharton School.

Man walking along a road in the countryside
comes across a shepherd and a huge flock of sheep. Tells the shepherd,
“I will bet you $100 against one of your sheep that I can tell you the
exact number in this flock.” The shepherd thinks it over; it’s a big flock
so he takes the bet. “973,” says the man. The shepherd is astonished, because
that is exactly right. Says “OK, I’m a man of my word, take an animal.”
Man picks one up and begins to walk away.

“Wait,” cries the shepherd, “Let
me have a chance to get even. Double or nothing that I can guess your exact
occupation.” Man says sure. “You are an economist for a government think
tank,” says the shepherd. “Amazing!” responds the man, “You are exactly
right! But tell me, how did you deduce that?”

“Well,” says the shepherd, “put down
my dog and I will tell you.”

A mathematician, an accountant and
an economist apply for the same job.

The interviewer calls in the mathematician
and asks “What do two plus two equal?” The mathematician replies “Four.”
The interviewer asks “Four, exactly?” The mathematician looks at the interviewer
incredulously and says “Yes, four, exactly.”

Then the interviewer calls in the
accountant and asks the same question “What do two plus two equal?” The
accountant says “On average, four - give or take ten percent, but on average,
four.”

Then the interviewer calls in the
economist and poses the same question “What do two plus two equal?” The
economist gets up, locks the door, closes the shade, sits down next to
the interviewer and says “What do you want it to equal?”

TOP 10 REASONS TO STUDY ECONOMICS

1. Economists are armed and dangerous:
“Watch out for our invisible hands.”2. Economists can supply it on demand.3. You can talk about money without
every having to make any.

4. You get to say “trickle down”
with a straight face.5. Mick Jagger and Arnold Schwarzenegger
both studied economics and look how they turned out.6. When you are in the unemployment
line, at least you will know why you are there.7. If you rearrange the letters
in “ECONOMICS”, you get “COMIC NOSE”.8. Although ethics teaches that
virtue is its own reward, in economics we get taught that reward is its
own virtue.9. When you get drunk, you can tell
everyone that you are just researching the law of diminishing marginal
utility.10. When you call 1-900-LUV-ECON
and get Kandi Keynes, you will have something to talk about.

ECONOMISTS do it at bliss point

ECONOMISTS do it cyclicallyECONOMISTS do it in an Edgeworth
BoxECONOMISTS do it on demandECONOMISTS do it risk-free (in reference
to the risk-free interest rate)ECONOMISTS do it with a dualECONOMISTS do it with an atomistic
competitorECONOMISTS do it with crystal ballsECONOMISTS do it with interest

“Economists do it with models”Heard at the LSE.

Econometricians do it if they can identify it.Applied econometricians do it even
if they can’t.

Economists do it with Slutsky matrices.

Economists do it discretely AND continuously.

Economists do it on Leontief’s table.Heard at the Bocconi university
in Milan.

“Econometricians do it with dummies”?

Morry Adelman at MIT claims that he heard this at Shell long ago:“A planner is a gentle man,with neither sword nor pistol.He walks along most daintily,because his balls are crystal.”

Mike Lynch, MIT

An economist is a trained professional paid to guess wrong about the
economy. An econometrician is a trained professional paid to use computers
to guess wrong about the economy.

Talk is cheap. Supply exceeds Demand.

Bentley’s second Law of Economics: The only thing more dangerous than
an economist is an amateur economist!

Berta’s Fundamental Law of Economic
Rents.. “The only thing more dangerous than an amateur economist is a professional
economist.”

A true story:“I heard this from one of my professors.
To protect him, no names will be revealed. This professor was about to
get married. He went to the jewelers to get a wedding ring for his fiancee.
The jeweler told him that he can have the inside of the ring engraved with
the name of his fiancee for an additional $20 (remember, this was a LONG
time ago). He said, “But that will reduce the resale value!” The jeweler
was aghast. He said, “How can you say such a thing. You are a butcher!”
“No,” replied the professor, “I am an economist”.”

told by Tapen Sinha, PhD

An economic forecaster was known
to have an horseshoe prominently displayed above the door frame of his
office. Asked what it was for, he replied that it was a good luck charm
that helped his forecasts. But do you believe in that superstition? he
was asked, and he said, “Of course not!” But then why do you keep it? “Well,”
he said, “it works whether you believe in it or not.”

The story is actually told
about a non-economist, Danish Nobel prize winner Niels Bohr.Since the publication of the joke
I’ve been told that Bohr actually said that he had been told that it
works whether…

Economics has gotten so rigorous we’ve all got rigor mortis.Presumably said by Kenneth Boulding

Economist related joke: Definition: Policy Analyst is someone unethical
enough to be a lawyer, impractical enough to be a theologian, and pedantic
enough to be an economist.

There is one joke opportunity in Robert Kuttner, The Poverty of Economics,
The Atlantic Monthly, Feb 1985, p. 79, which says: “George Stigler Nobel
laureate and a leader of Chicago School was asked why there were no Nobel
Prizes awarded in the other social sciences, sociology, psychology, history,
etc. “Don’t worry”, Stigler said, “they have already have a Nobel Prize
in …Literature”

An economist was standing at the shore of a large lake, surf-casting.
It was the middle of winter, and the lake was completely frozen over, but
this didn’t seem to bother the economist, who stood there patiently casting
his lure out across the ice, slowly reeling it in again, then repeating
the process.

A mathematical economist came
sailing by on an ice boat, and pulled to the shore beside the surf-fishing
economist to scoff. “You’ll never catch any fish that way,” said the mathematical
economist. “Jump on my ice-boat and we’ll go trawling.”

Three econometricians went out hunting, and came across a large deer.
The first econometrician fired, but missed, by a meter to the left. The
second econometrician fired, but also missed, by a meter to the right.
The third econometrician didn’t fire, but shouted in triumph, “We got it!
We got it!”

A mathematician, a theoretical economist and an econometrician are
asked to find a black cat (who doesn’t really exist) in a closed room with
the lights off:

- The mathematician gets crazy trying
to find a black cat that doesn’t exist inside the darkened room and ends
up in a psychiatric hospital.- The theoretical economist is unable
to catch the black cat that doesn’t exist inside the darkened room, but
exits the room proudly proclaiming that he can construct a model to describe
all his movements with extreme accuracy.- The econometrician walks securely
into the darkened room, spend one hour looking for the black cat that doesn’t
exits and shouts from inside the room that he has it catched by the neck.”

True story. I’m riding up the elevator at the Boston ASSA meetings
a few years back. In the car with me is a woman who works in the hotel.
I ask her if economists are really as dull a bunch as they’re made out
to be. She responds that she used to be stationed at the NYC branch of
the chain when the meetings were held there and that even the hookers had
taken the week off.

Carlos Bonilla

Practice economy at any cost.

from “The Hitchhiker’s Guide to the Galaxy” by Douglas Adams, Chapter
16.

Arthur awoke to the sound of argument
and went to the bridge. Ford was waving his arms about. “You’re crazy Zaphod,”
he was saying, “Magrathea is a myth a fairy story, it’s what parents tell
their kids about at night if they want them to grow up to be economists,
it’s…”

from the preface to Paul Krugman’s book, “Peddling Prosperity: Economic
Sense and Nonsense in the Age of Diminished Expectations” (1994, page xi):
An Indian-born economist once explained his personal theory of reincarnation
to his graduate economics class. “If you are a good economist, a virtuous
economist,” he said, “you are reborn as a physicist. But if you are an
evil, wicked economist, you are reborn as a sociologist.”

When two economists are out for a stroll together, how do you identify
the UofC economist? He’s the one walking randomly.

Heard at the workshop of evolutionary economists at IIASA:

Q: How has French revolution
affected world economic growth?A: Too early to say.

True story: I was standing with Ken Arrow by a bank of elevators on
the ground floor of William James Hall at Harvard. Three elevators passed
us on our way to the basement. I foolishly said “I wonder why everybody
in the basement wants to go upstairs.” He responded, almost instantly:
“You’re confusing supply with demand.”Curt Monash

Economist poem

If you do some acrobaticswith a little mathematics

it will take you far along.If your idea’s not defensibledon’t make it comprehensibleor folks will find you out,and your work will draw attentionif you only fail to mentionwhat the whole thing is about.

Your must talk of GNPand of elasticity

of rates of substitutionand undeterminate solutionand oligonopopsony.

Kenneth E. BOULDING

Q. What do economists and computers have in common ??A. You need to punch information
into both of them.

Why does Treasury only have 10 minutes for morning tea ??A. If they had any longer, they
would need to re-train all the economists.

Two economists were walking down the street when they noticed two women
yelling across the street at each other from their apartment windows.

Of course they will never come to
agreement, stated the first economist.

And why is that, inquired his companion,

Why, of course, because they are
arguing from different premises.

Here’s couple of more general jokes.

A civil engineer, a chemist and an
economist are traveling in the countryside. Weary, they stop at a small
country inn. “I only have two rooms, so one of you will have to sleep in
the barn,” the innkeeper says. The civil engineer volunteers to sleep in
the barn, goes outside, and the others go to bed. In a short time they’re
awakened by a knock. It’s the engineer, who says, “There’s a cow in that
barn. I’m a Hindu, and it would offend my beliefs to sleep next to a sacred
animal.” The chemist says that, OK, he’ll sleep in the barn. The others
go back to bed, but soon are awakened by another knock. It’s the chemist
who says, “There’s a pig in that barn. I’m Jewish, and cannot sleep next
to an unclean animal.” So the economist is sent to the barn. It’s getting
late, the others are very tired and soon fall asleep. But they’re awakened
by an even louder knocking. They open the door and are surprised by what
they see: It’s the cow and the pig!

Three economists and three mathematicians
were going for a trip by train. Before the journey, the mathematicians
bought 3 tickets but economists only bought one. The mathematicians were
glad their stupid colleagues were going to pay a fine. However, when the
conductor was approaching their compartment, all three economists went
to the nearest toilet. The conductor, noticing that somebody was in the
toilet, knocked on the door. In reply he saw a hand with one ticket. He
checked it and the economists saved 2⁄3 of the ticket price.The next day, the mathematicians
decided to use the same strategy- they bought only one ticket, but economists
did not buy tickets at all! When the mathematicians saw the conductor,
they hid in the toilet, and when they heard knocking they handed in the
ticket. They did not get it back.Why? The economists took it and
went to the other toilet.

A party of economists was climbing
in the Alps . After several hours they became hopelessly lost. One of them
studied the map for some time, turning it up and down, sighting on distant
landmarks, consulting his compass, and finally the sun.

Finally he said, ‘ OK see that big
mountain over there?’‘Yes’, answered the others eagerly.‘Well, according to the map, we’re
standing on top of it.’

Did you hear of the economist who dove into his swimming pool and broke
his neck?

He forgot to seasonally adjust his
pool.

If all the economists were laid end to end they would be an orgy, of
mathematics.

A wealthy labor economist had an urge to have grandchildren. He had
two daughters and two sons and none of them had gratified his desire for
a grandchild. At the annual family gathering on Thanksgiving Day, he chided
them gently to bless his old age with their progeny. “But I haven’t given
up hope,” he said, “Yesterday I went to the bank and set up a one hundred
thousand dollar trust fund to be given to the first grandchild that I have.
Now we will all bow our heads while I say a prayer of thanks.” When he
looked up, he and his wife were the only ones at the table.

NATURAL RATE OF UNEMPLOYMENTNewlan’s Truism: An “acceptable”
level of unemployment means that the government economist to whom it is
acceptable still has a job.

Q Why did the market economist cross the road?A To reach the consensus forecast.

Q: What does an economist use when calculating constant-dollar estimates?A: Deflator mouse

these were created by Pat Marren 2/14/96

Subject: TOP TEN ECONOMIST VALENTINES

10. YOU RAISE MY INTEREST RATE THIRTY
BASIS POINTS WITHOUT A CORRESPONDING DROPOFF IN CONSUMER ENTHUSIASM9. DESPITE A DECADE OF INFLATION,
I STILL DIG YOUR SUPPLY CURVE8. WHAT DO YOU SAY WE REMEASURE
OUR CROSS-ELASTICITY

7. YOU BRING THE BUTTER, I’LL BRING
THE GUN6. LET’S RAISE HOUSING STARTS TOGETHER5. FURTHER STIMULUS COULD RESULT
IN UNCONTROLLED EXPANSION4. TELL ME WHETHER MY EXPECTATIONS
ARE RATIONAL3. LET’S ASSUME A RITZY HOTEL ROOM
AND A BOTTLE OF DOM2. YOU STOKE THE ANIMAL SPIRITS
OF MY MARKET1. A LOAF OF BREAD, A JUG OF WINE,
AND THOU BESIDE ME WATCHING RUKEYSER

When Albert Einstein died, he met three New Zealanders in the queue
outside the Pearly Gates. To pass the time, he asked what were their IQs.
The first replied 190. “Wonderful,” exclaimed Einstein. “We can discuss
the contribution made by Ernest Rutherford to atomic physics and my theory
of general relativity”. The second answered 150. “Good,” said Einstein.
“I look forward to discussing the role of New Zealand’s nuclear-free legislation
in the quest for world peace”. The third New Zealander mumbled 50. Einstein
paused, and then asked, “So what is your forecast for the budget deficit
next year?” (Adapted from Economist June 13th 1992, p. 71).

Two men are flying in a captive balloon. The wind is ugly and they
come away from their course and they have no idea where they are. So they
go down to 20 m above ground and ask a passing wanderer. “Could you tell
us where we are?”

“You are in a balloon.”

So the one pilot to the other:

“The answer is perfectly right and
absolutely useless. The man must be an economist”

“Then you must be businessmen”, answers
the man.

“That’s right! How did you know?”

“You have such a good view from where
you are and yet you don’t know where you are!”

Light bulb jokes are always in…

Q: How many Chicago School
economists does it take to change a light bulb?

A: None. If the light bulb
needed changing the market would have already done it.

Q: How
many mainstream economists does it take to change a light bulb?

A1: Two. One to assume the existence
of ladder and one to change the bulb.A2: Two. One to assume the existence
of latter and one to change the bulb.

Q: How many neo-classical economists does
it take to change a light bulb?A: It depends on the wage rate. Q: How many conservative economists does
it take to change a light bulb?

A1: None. The darkness will cause
the light bulb to change by itself.

A2: None. If it really needed changing,
market forces would have caused it to happen.

A3: None. If the government would
just leave it alone, it would screw itself in.

A4. None. “There is no need to change
the light bulb. All the conditions for illumination are in place.

A5. None; they’re all waiting for
the unseen hand of the market to correct the lighting disequilibrium.

The above light bulb jokes were mostly
stolen from an article in _The_WhartonJournal, Feb. 21, 1994, by Selena
Maranjian, who undoubtedly pilfered the humor from someone else. Selena
also suggested (for you B-school types):

Q: How many Wharton MBAs does it
take to change a light bulb?

A: Only one, if you hire me. I can
actually change the light bulb by myself. As you can see from my resume,
I’ve had extensive experience changing light bulbs in my previous positions.
I’ve also been named to the Wharton Light Bulb list, and am presently a
teaching assistant for Light Bulb Management 666. My only weakness is that
I’m compulsive about changing light bulbs in my spare time.

Q: How many B-school doctoral students
does it take to change a light bulb?A: I’m writing my dissertation on
that topic; I should have an answer for you in about 5 years.

Q: How many investors does it take
to change a light bulb?A: None - the market has already
discounted the change.

The Economist

Q:How many Keynesian economists does it takes to change a light bulb?

A:All. Because then you will generate
employment, more consumption, dislocating the AD (agg. demand) to the right,…

Q: How many Trotskyists does it take to change a lightbulb?

A: None. Smash it!

Q; How many central bank economists does it take to screw in a lightbulb?A: Just one – he holds the lightbulb
and the whole earth revolves around him.

Economists do it with models

Q: How many marxists does it take to screw in a lightbulb?A: None - the bulb contains within
it the seeds of its own revolution.

How many environmental economists
does it take to change a lightbulb? Eight - one to turn the lightbulb and
seven to do the environmental impact study. —

It’s not easy being an economist. How would you like to go through
life pretending you knew what M1 was all about?

An elderly economics professor is standing at the shallow end of the
campus pool. A Coed is standing at the deep end taking pictures. She suddenly
drops the camera into the pool. Then she motions for the professor to come
to her. He goes and she asks him to retrieve the camera. He agrees and
dives in and retrieve its.

Upon returning he says to her, “Why
did you ask me to retrieve the camera when there were many younger and
more athletic males closer to her?” She replied, “Professor you seem to
forget that I’m in your Econ I class, and I don’t know anyone who can go
down deeper, stay down longer and come up drier than you.”

When drawing up the guest list for
a dinner party, inviting more than 25% economists ruins the conversation.

Economics is the painful elaboration of the obvious.

Q: How many economists does it take to change a light bulb?A: Seven, plus/minus ten.

Q:How many economists does it take to change a light bulb?A: Irrelevant - the light bulb’s
preferences are to be taken as given.

True story: The scene is a conference of professors of marketing. The
keynote speaker is an eminent economist. The chairman, who sees himself
as a bit of a wag, says,

“I would like to introduce my eminent
colleague and friend. He’s an economist, one of those people who turn random
numbers into mathematical laws.”The economist, not to be outdone,
replies,“My friend, here, is a marketer.
They reverse the process.”

A Swedish contribution:

“Economics is like red whine - you
shouldn’t smell it but drink it, but if you drink too much on one occasion,
there is a risk for dizziness”(“Nationalekonomi ar som rodvin

One day a man walked into the main
library of a major research university. He stopped at the reference desk
and asked the librarian if she had any current books about economics and
the economy.

She answered that she did, and led
the man to the reference shelves where the economics and economy books
were.

To the surprise of both the librarian
and the man all of the books were off the shelf being used.

That's OK,'' the man said.I’ll
just go to another library. You see, I’m a very busy man, and I set this
weekend aside for studying economics and the economy.”

The librarian said she understood
and gave the man directions to the nearest research library. But her interest
piqued, she asked: ``Why are you so urgent to study economics and the economy?”

The man replied: “I’m an economist.
I’ve been teaching at this university for the past ten years. I’m attending
a business meeting on Monday, and I figure the economy has changed in the
past ten years.”

Economists do it with cross partials…

Q. What’s the difference between an economist and a befuddled old man
with Alzheimer’s?

A. The economist is the one with
the calculator.

One day a woman went for a walk in her neighborhood and came across
a boy with some puppies. “Would you like a puppy? They aren’t ready for
new homes quite yet, but they will be in a few weeks!”

“Oh, they’re adorable,” the lady
said. “What kind of dogs are they?”

“These are economists.”“OK. I’ll tell my husband.”

So she went home and told her husband.
He was very interested to see the puppies. About a week later he came across
the lad; the puppies were very active.

“Hey, Mister. Want a puppy?”“I think my wife spoke with you
last week. What kind of dogs are these?”“Oh. These are decision analysts.”“I thought you said last week that
they were economists.”“Yeah, but they’ve opened their
eyes since then.”

An economist is someone who doesn’t know what he’s talking about -
and make you feel it’s your fault.

The definition of “waste”: a busload of economists plunging over a
precipice with three of the seats unoccupied.

True stories

I was riding my bike down a hill
in my city one night and two policemen stopped me at their speed trap.
They asked me how fast I was going - 63 km - and congratulated me on the
accuracy of my speedo. They then asked me why I was not driving a car and
as I was a woman, wasn’t it dangerous to be be out at night on a bike.
I said I did not drive a car. They then asked me my occupation - I said
“an economist”. One of the policemen said “That’s why she’s riding a bike

she’s economising”

I know that economics is ruling my
life when

- I tried to calculate my 3 year
old son’s discount rate by seeing how many sweets he would require to be
promised to him after dinner to be equivalent to one sweet before dinner- I spent one hour in a toy shop
making up over 20 bundles of toys that could be purchased for $25 and then
asked my son to select one of these bundles

Brita P

Bill and Boris are taking a break from a long summit, Boris says to
Bill, -Bill, you know, I have a big problem I don’t know what to do about.
I have a hundred bodyguards and one of them is a traitor. I don’t know
which one. -Not a big deal Boris, I’m stuck with a hundred economists I
have to listen to all the time before any policy decision, and only one
tells the truth but it’s never the same one.

Two government economists were returning
home from a field meeting. As with all government travelers, they were
assigned the cheapest seats on the plane so they each were occupying the
center seat on opposite sides of the aisle. They continued their discussion
of the knotty problem that had been the subject of their meeting through
takeoff and meal service until finally one of the passengers in an aisle
seat offered to trade places so they could talk and he could sleep. After
switching seats, one economist remarked to the other that it was the first
time an economic discussion ever kept anyone awake.

Robert J. BARRO in his 1989 paper in the Journal of Economic Perspectives:“A colleague of mine argues that
a ‘normative’ model should be defined as a model that fits the data badly.”

Found in a paper of Anatol
RAPOPORT (Scientific American, July 1967) who tells the following joke
which he found in ‘The Complete Strategist’ by J. D. Williams:“Two policemen are considering the
problem of catching the bandit. One of them starts to calculate the optimal
mixed strategy for the chase. The other policeman protests.‘While we’re doodling,’ he points
out, ‘he is making his getaway.’‘Relax,’ says the game-theorist
policeman. ‘He’s got to figure it out too, don’t he?’”

During the waning days of communism in the Soviet Union, an inspector
was encharged with visiting local poultry farmers and inquiring about the
amount of feed they were giving their chickens. Central planning was still
in effect and each farmer was allocated 15 Roubles to spend on chicken
feed.

One farmer very honestly answered
that he spent five of the allocated 15 Roubles on chicken feed. The inspector
took this to mean that the thieving farmer pocketed the other ten and promptly
had him imprisoned.

Hearing of this through the rumour
mill, the next farmer down the road insisted that he spent all 15 Roubles
on food for the chickens. The inspector saw this as a case of budget-padding
and the farmer as a wasteful opportunist. He too was imprisoned.

The third farmer heard of both episodes
and was more prepared for the inspector’s arrival.

“How many of the 15 Roubles do you
actually spend on chicken feed,” asked the inspector.

Like a true nascent capitalist, the
farmer threw his hands in the air and answered, “hey! I give 15 Roubles
to the chickens. They can eat whatever they want!”

Experienced economist and not so
experienced economist are walking down the road. They get across shit lying
on the asphalt.

Experienced economist: “If you eat
it I’ll give you $20,000!”Not so experienced economist runs
his optimization problem and figures out he’s better off eating it so he
does and collects money.Continuing along the same road they
almost step into yet another shit.

Not so experienced economist: “Now,
if YOU eat this shit I’ll give YOU \$20,000.”After evaluating the proposal experienced
economist eats shit getting the money.They go on. Not so experienced economist
starts thinking: “Listen, we both have the same amount of money we had
before, but we both ate shit. I don’t see us being better off.”Experienced economist: “Well, that’s
true, but you overlooked the fact that we’ve been just involved in $40,000
of trade.”

What’s the difference between economists
and businessmen: the first don’t keep their feet on the ground; the latest
use to keep their four feet in the ground

An economist is someone who knows the price of everything and the value
of nothing.

Following story is to demonstrate some possible implications of the
above statement. Two stangers, a man and a woman, meet in a cafe, the man
asks.“My Dear, would you go to bed with
me for a million dollars?”

“Well, yes, I guess I would.”“How about $100?”“What kind of person do you think
I am?”“My Dear, we have already established
that. We are merely haggling over the price!”

According to Ross Emmet, the story was told by George Bernard Shaw. The man
and woman are Winston Churchill and Lady Astor and the incident allegedly
did occur.

Economists are people who are too smart for their own good and not
smart enough for anyone else’s.

From Ambrose Bierce, The Devil’s Dictionary:

Tariff – A scale of taxes on imports,
designed to protect the domestic producer against the greed of his consumer.

Economy – Purchasing the barrel
of whiskey that you do not need for the price of the cow that you cannot
afford.

A woman hears from her doctor that she has only half a year to live.
The doctor advises her to marry an economist and to live in South Dakota.
The woman asks: will this cure my illness? Answer of the doctor: No, but
the half year will seem pretty long.

A boy was crossing a road one day when a frog called out to him and
said, “If you kiss me, I’ll turn into a beautiful princess.” He bent over,
picked up the frog and put it in his pocket. The frog spoke up again and
said, “If you kiss me and turn me back into a beautiful princess, I will
stay with you for one week.” The boy took the frog out of his pocket, smiled
at it, and returned it to his pocket. The frog then cried out, “If you
kiss me and turn me back into a princess, I’ll stay with you and do ANYTHING
you want.” Again the boy took the frog out, smiled at it and put it back
into his pocket. Finally, the frog asked, “What is the matter? I’ve told
you I’m a beautiful princess, that I’ll stay with you for a week and do
anything you want. Why won’t you kiss me?” The boy said, “Look, I’m an
economist. I don’t have time for a girlfriend, but a talking frog is cool.”

Q:Why did God create economists ?

A:In order to make weather forecasters
look good.

Q: Why did the economist cross the
road?

A: It was the chicken’s day off.

Q. What does an economist do?

A. A lot in the short run, which
amounts to nothing in the long run.

Two economists meet on the street. One inquires, “How’s your wife?”
The other responds, “Relative to what?”

To an economist, real life is a special case.

Allow me to tell one joke in Finnish… its difficult to translate
without loosing the funny point…

I asked an economist for her phone number….and she gave me an estimate.

One more lightbulb joke:

Q: How many economists does it take
to change a lightbulb?A: Eight. One to screw it in and
seven to hold everything else constant.

Conversation between two Dinosaurs:

Dinosaur #1: “How many economists
does it take to screw in a light bulb?”Dinosaur #2: “What is an economist?”Dinosaur #1: “A flunkie mathematician
who tries to predict the population of kangaroos in Australia. But that’s
not important and don’t ask what a Kangaroo is.”Dinosaur #2: “I don’t know, how
many?”Dinosaur #1: “10 economists and
one grad student. One economist to make a model, one to run the regression,
one to test the hypothesis, one to interpret the results, one to conclude
how to screw it on, one grad student to screw it on, and five economists
trying to fight off the dinosaurs trying to eat them.

Economists have forecasted 9 out of the last 5 recessions.

An econometrician and an astrologer are arguing about their subjects.
The astrologer says, “Astrology is more scientific. My predictions come
out right half the time. Yours can’t even reach that proportion”. The econometrician
replies, “That’s because of external shocks. Stars don’t have those”.

SOCIALISM: You have two cows. State takes one and give it to someone
else.COMMUNISM: You have two cows. State
takes both of them and gives you milk.FASCISM: You have two cows. State
takes both of them and sell you milk.NAZISM: You have two cows. State
takes both of them and shoot you.BUREAUCRACY: You have two cows.
State takes both of them, kill one and spill the milk in system of sewage.CAPITALISM: You have two cows. You
sell one and buy a bull.

Alternative: A COWSMIC VIEW OF WORLD
ORGANIZATION

FEUDALISM: You have two cows. Your
lord takes some of the milk.

PURE SOCIALISM: You have two cows.
The government takes them and puts them in a barn with everyone else’s
cows. You have to take care of all the cows. The government gives you as
much milk as you need.

BUREAUCRATIC SOCIALISM: You have
two cows. The government takes them and puts them in a barn with everyone
else’s cows. They are cared for by ex-chicken farmers. You have to take
care of the chickens the government took from the chicken farmers. The
government gives you as much milk and as many eggs as the regulations say
you should need.

FASCISM: You have two cows. The government
takes both, hires you to take care of them, and sells you the milk.

PURE COMMUNISM: You have two cows.
Your neighbors help you take care of them, and you all share the milk.

RUSSIAN COMMUNISM: You have two cows.
You have to take care of them, but the government takes all the milk.

DICTATORSHIP: You have two cows.
The government takes both and shoots you.

SINGAPORE DEMOCRACY: You have two
cows. The government fines you for keeping two unlicensed animals in an
apartment.

MILITARIANISM: You have two cows.
The government takes both and drafts you.

PURE DEMOCRACY: You have two cows.
Your neighbors decide who gets the milk.

REPRESENTATIVE DEMOCRACY: You have
two cows. Your neighbors pick someone to tell you who gets the milk.

AMERICAN DEMOCRACY: The government
promises to give you two cows if you vote for it. After the election, the
president is impeached for speculating in cow futures. The press dubs the
affair “Cowgate”.

BRITISH DEMOCRACY: You have two cows.
You feed them sheep’s brains and they go mad. The government doesn’t do
anything.

BUREAUCRACY: You have two cows. At
first the government regulates what you can feed them and when you can
milk them. Then it pays you not to milk them. After that it takes both,
shoots one, milks the other and pours the milk down the drain. Then it
requires you to fill out forms accounting for the missing cows.

ANARCHY: You have two cows. Either
you sell the milk at a fair price or your neighbors kill you and take the
cows.

CAPITALISM: You have two cows. You
sell one and buy a bull.

HONG KONG CAPITALISM: You have two
cows. You sell three of them to your publicly listed company, using letters
of credit opened by your brother-in-law at the bank, then execute a debt/equity
swap with associated general offer so that you get all four cows back,
with a tax deduction for keeping five cows. The milk rights of six cows
are transferred via a Panamanian intermediary to a Cayman Islands company
secretly owned by the majority shareholder, who sells the rights to all
seven cows’ milk back to the listed company. The annual report says that
the company owns eight cows, with an option on one more. Meanwhile, you
kill the two cows because the Feng Shui is bad.

ENVIRONMENTALISM: You have two cows.
The government bans you from milking or killing them.

FEMINISM: You have two cows. They
get married and adopt a veal calf.

TOTALITARIANISM: You have two cows.
The government takes them and denies they ever existed. Milk is banned.

POLITICAL CORRECTNESS: You are associated
with (the concept of “ownership”is a symbol of the phallo-centric, war-mongering,
intolerant past) two differently-aged (but no less valuable to society)
bovines of non-specified gender.

COUNTER CULTURE: Wow, dude, there’s
like… these two cows, man. You got to have some of this milk. Far out!
Awesome!

SURREALISM: You have two giraffes.
The government requires you to take harmonica lessons.

JAPANESE DEMOCRACY: You have two
cows. You give the milk to gangsters so they don’t ask any awkward questions
about who you’re giving the milk to.

EUROPEAN FEDERALISM: You have two
cows which cost too much money to care for because everybody is buying
milk imported from some cheap east-European country and would never pay
the fortune you’d have to ask for your cows’ milk. So you apply for financial
aid from the European Union to subsidise your cows and are granted enough
subsidies. You then sell your milk at the former elevated price to some
government-owned distributor which then dumps your milk onto the market
at east-European prices to make Europe competitive. You spend the money
you got as a subsidy on two new cows and then go on a demonstration to
Brussels complaining that the European farm-policy is going drive you out
of your job.

EASTERN EUROPEAN DEMOCRACY: You have
two cows. You sell the milk (diluted with some water) at a high price to
the neighbors or to anyone at the open-air market. If somebody asks for
receipt, you charge for a two times higher price, so nobody will request
an invoice. For concerned families with small babies you claim that the
milk is “bio”, though you collect the grass for feeding at the side of
the highway and you keep the milk in plastic barrels used previously as
containers of dangerous chemicals. Later, your neighbor or anybody from
town will steal the cows and will buy their meat for a high price, and
if you ask for a receipt, you will be charged for a two times higher price.

FINNISH SOCIALISM: You have two cows.
Soon you have to kill one of them because in the Netherlands there is an
overproduction of milk and the European Union rules say so. When you do
so, you realize that it was not necessary, only the system was too slow
in getting you the up-to-date news. From the stress, you get an ulcer in
your stomach so you go to a doctor. The doctor realizes that this ulcer
is a serious one, so you need an urgent treatment. Therefore, you soon
get a call to the local hospital. The call’s date is for 3 months later,
because there is a queue with more urgent cases. Then your ulcer becomes
even more serious because you remember that 40 percent of your income is
taken for social tax.

Q: What do you call a little girl in a brown dress who is running across
a playground?A: A brownian motion.

David Gunn (Scotland): “Eighty percent of rules of thumb only apply
20 percent of the time”

This one I attribute to Richard Thaler, now at the Univ of Chicago.

When an economist says the evidence
is “mixed,” he or she means that theory says one thing and data says the
opposite.

From Peter Kennedy’s “A Guide to Econometrics” (MIT Press, 1992):

(P. 7) [Econometrics is…] the art
of drawing a crooked line from an unproved assumption to a foregone conclusion.”

True story: One day in microeconomics, the professor was writing up
the typical “underlying assumptions” in preparation to explain a new model.
I turned to my friend and asked, “What would Economics be without assumptions?”
He thought for a moment, then replied, “Accounting.”

Q: Why has astrology been invented? A: So that economy could be an
accurate science.

This is a true story:

Back in the mid-1970s, I attended
an ASSA/AEA convention in Dallas. During the third day of the convention,
one of the bellhops at the convention hotel asked me who the people attending
the convention were and what we did for a living.“We’re economists,” I replied. “Why
do you ask?”“I don’t know….. no women, no
drugs, just booze, booze, booze.”

John Palmer

An old joke applied to economists.One night a policeman saw a macroeconomist
looking for something buy a lightpole. He asked him is had had lost
something there. The economist said, “I lost my keyes over in the
alley.” The policeman asked him why he was looking by the lightpole.

The economist responded, “it’s a lot easier to look over here.”

This tale is said to be told by
John Kenneth Galbraith on himself. As a boy he lived on a farm in Canada.
On the adjoining farm, lived a girl he was fond of. One day as they
sat together on the top rail of the cattle pen they watced a bull servicing
a cow. Galbraith turned to the girl, with what he hoped was a suggestive
look, saying, “That looks like it would be fun.” She replied,
“Well….she’s your cow.”

An economist is someone who gets
rich explaining others why they are poor.

Not a joke as such, but (a true
story, apparently, as told by a Finance lecturer at LSE):

An economist was about to give a
presentation in Washington, DC on the problems with Black-Scholes model
of option pricing and was expecting no more than a dozen of government
officials attending (who would bother?). To his amazement, when he arrived,
the room was packed with edgy, tough-looking guys in shades. Still, after
five or so minutes into the presentation all of them stood up and left
without a word. The economist found out only laterthat his secretary ran the presentation
through a spell-checker and what was “The Problem with Black-Scholes” became
“The Problem with Black Schools”, a rather more fascinating subject.

The last severe depression and banking
crisis could not have been achieved by normal civil servants and politicians,
it required economists involvement.

“I’d rather be vaguely right than
precisely wrong.”

- J.M.Keynes; Found in Forbes magazine
01/25/1999 issue. In the Numbers Game column by Bernard Cohen

A joke from the October 1992 Reader’s Digest, the Best Medicine section:

“I’m thinking of leaving my husband,”
complained the economist’s wife.“All he ever does is stand at the
end of the bed and tell me how good things are going to be.”

Q: Why do social workers refuse to sleep with economists?A: They have learned its a sunk
cost.

Q: Why do Economists provide estimates of inflation to the nearest
tenth of a percent?

A: To prove they have a sense of
humour.

“Economic statistics are like a bikini, what they reveal is important,
what they conceal is vital”- Attributed to Professor Sir Frank
Holmes, Victoria University, Wellington, New Zealand, 1967.

“An economist is a person who confronted with a eight foot high wall,
immediately assumes he is ten feet tall.”- Attributed to John Zanetti, Senior
Lecturer, Victoria University, Wellington, New Zealand 1971.

Contagion: A strory demostrating the possible outcomes from interlinkages
in the financial markets.

Back during the Solidarity days,
I heard that the following joke was being told in Poland:

A man goes into the Bank of Gdansk
to make a deposit. Since he has never kept money in a bank before, he is
a little nervous.“What happens if the Bank of Gdansk
should fail?” he asks.

“Well, in that case your money would
be insured by the Bank of Warsaw.”“But, what if the Bank of Warsaw
fails?”“Well, there’d be no problem, because
the Bank of Warsaw is insured by the National Bank of Poland.”“And if the National Bank of Poland
fails?”“Then your money would be insured
by the Bank of Moscow.”“And what if the Bank of Moscow
fails?”“Then your money would be insured
by the Great Bank of the Soviet Union.”“And if that bank fails?”“Well, in that case, you’d lose
all your money. But, wouldn’t it be worth it?”

Seven habits that help produce the
anything-but-efficient markets that rule the world by Paul Krugman in Fortune.

1. Think short term.2. Be greedy.3. Believe in the greater fool4. Run with the herd.5. Overgeneralize6. Be trendy7. Play with other people’s money

Phelson’s Law (or so I was told)Copying an idea from an author is
plagiarism. Copying many ideas from many authors is… research !!

These deep thoughts of colleague economists were originally collected
by Hiroyuki Kawakatsu

How to do research

Keep the ass to the chair.-James Buchanan

Everything has been thought before,
but the problem is to think of it again.-Goethe

Concepts without perceptions are
empty; perceptions without concepts are blind.-Kant

Mathematics has no symbols for confused
ideas.-George Stigler

All models are wrong but some are
useful.-George Box

Far better an approximate answer
to the right question, which is often vague, than an exact answer to the
wrong question, which can always be made precise.-J. Tukey

The paradox is now fully established
that the utmost abstractions are the true weapons with which to control
our thought of concrete fact.

-A. Whitehead

In the long-run, there’s just another
short-run.-Abba Lerner

Life can only be understood backwards,
but it must be lived forwards.-Kierkegaard

Someone once said about partisan
analysts that they use economic data the way a drunkard uses a lamppost:
for support rather than illumination. Or as Disraeli put it, there are
three kinds of lies: lies, damn lies, and statistics.-Paul Krugman

Theories are testable where they
are least needed, and are not testable where they are most needed.-Charles Manski

If you torture the data long enough,
Nature will confess.-Ronald Coase

There are two things you are better
off not watching in the making: sausages and econometric estimates.-Edward Leamer

Doing econometrics is like trying
to learn the laws of electricity by playing the radio.-Guy Orcutt

Any observed statistical regularity
will tend to collapse once pressure is placed upon it for control purposes.-Charles Goodhart

Time series regression studies give
no sign of converging toward the truth.

-Phillip Cagan

Any time series regression containing
more than four independent variables results in garbage-Zvi Griliches

Forecasting is like trying to drive
a car blindfolded and following directions given by a person who is looking
out of the back window-Anonymous

Given the choice between Bob Solow
and an econometric model to make forecasts, I’d choose Bob Solow; but I’d
rather have Bob Solow with an econometric model, than Bob Solow without
one-Paul Samuelson

Keep in mind the three most important
aspects of real data analysis: compromise, compromise, and compromise.-Edward Leamer

The four golden rules of econometrics:1.Think brilliantly,2.Be infinitely creative,3.Be outstandingly lucky,4.Otherwise, stick to being a theorist-David Hendry

A good empirical study requires three
components:1.A concise and sensible theoretical
framework that is related to the questions to be asked,2.Reasonably good data, and

3.An experiment or an event or a
set of circumstances that give the data a chance to answer the questions
asked. In short, the model needs to be identifiable from the data at hand.-Zvi Griliches

Two students of economics at lunch:Student 1” ‘Do you know what are
the two most important degrees in economics?”Student 2:“The MSc and the PhD?”
Student 1:“No, the zeroth and the first!”

In explaining why she felt our relationship had problems, a former
girlfriend (an English teacher) told me that the problem was that I was
so … so … reasonable. (David Colander)

+With simultaneous low inflation and low unemployment in the US persisting
for some time, certain policy-makers at the Fed are beginning to think
NAIRU stands for Nothing About Inflation (is) Related (to) Unemployment.

Chris Varvares (September 2000)

+A true story:A game theorist was talking to a group of psychologists at a conference. The conversation turned to children. He said that he does not intend his children to get any money from him now that they are grown. “In fact, if I have so much as a penny to my name on the day I die, it will only be because I miscalculated my utility.”

+In the Soviet Union, Stalin asked the Minister of Finance to give him an advice as to the establishment of the ruble convertibility. The minister produced a thick document, arguing in favor of establishment the rate 1 dollar = 14 rubles. Stalin looked at it and did not like that ruble is so undervalued. He took his red pencil and eliminated “1”. The exchange rate was established at 1 dollar = 4 rubles.

An economics journal article should
be like a woman’s skirt: short enough to be provocative; long enough to
have something substantial underneath.- Gerard Debreu (?)

+ A student was sitting in an econometric
class taught by Prof White. The lecture was too difficult that few students
understood it.

“What is the lecture all about?”
A student asked his friend who was sitting right next to him.“I don’t quite understand it either.
All I get is, it’s just some noise…specifically, white noise. He said
we can expect it to be nothing on average.”

+ When doctors make mistakes, at
least they kill their patients. When economists make mistakes, they merely
ruin them.

An economist is someone who has
had a human being described to him, but has never actually seen one.

There are three sorts of economist.
Those who can count, and those who can’t.

Grow your own dope – plant an
economist.

Economic forecasters assume everything,
except responsibility.

Economics is to be found in the
library – beyond fiction.

You know the difference between
a dead economist and a dead cat. There are usually skid marks in front
of the dead cat.

I begin with the assumption that
economists have their uses. I know many of you will disagree with this,
but as economists themselves say, ‘we can relax the assumption later’.

Several academics are asked whether
all odd numbers are prime:p> Mathematician: let’s see…3 is prime, 5 is
prime, and the result follows by induction.Physicist: let’s see…3 is prime,
5 is prime, 7 is prime, 9 is – experimental error, 11 is prime, 13 is
prime, …Engineer: let’s see…3 is prime,
5 is prime, 7 is prime, 9 is prime, 11 is prime…Computer Scientist: let’s see…3
is prime, 3 is prime, 3 is prime…Economist: let’s see…2 is prime,
4 is prime, 6 is prime…

(the joke has apparently very little to do with economics, but if it makes
you laugh…)

An econometrician E.M. left his
office after a long day of doing estimations. When arriving at the parking
lots, he could not find his car because he could not remember the exact
place where he left it. After pondering a while, he stopped at an empty
lot and started cursing, “they stole my car, those bloody bandits”. He
called in the police who started taking notes after arrival. A friend from
the history department passed along. After listening to what had happened
he said, “hey, your car is 25 meters over there, didn’t you realize?” The
econometrician said, “Can’t be, this is the mean value of the distribution
of my past choices of lots”.

“I once read about a meeting of
economists who agreed that if their forecasts were 33 1⁄3 % correct, that
was considered a high mark in their profession. Well, of course, I know
you cannot invest in securities successfully with odds like that against
you if you place dependence solely upon judgement as to the right securities
to own and the right time or price to buy them. Then, too, I read somewhere
about the man who described an economist as resembling ‘a professor of
anatomy who was still a virgin.‘”-Gerald M Loeb (1935, 1965 ed.)
“The Battle for Investment Survival”

Economics-everything we know in
a language we don’t understand.

A voice from history.

“Not all Germans believe in
God but they believe in the Bundesbank”

Jacques Delors former president
of European Commissionin FT December 15,1998

A real story

One day, the professor who
taught Money and Banking in Buenos Aires told us: “I do not know if you
will find a job as economists, but am sure you will know why you are going
to be poor”

Overheard in passing: one Oxford economics don speaking to another
while walking along a street: “And ninthly, …”from Albert Clack in London.

An economics limerick

Folks came from afar just to
seeTwo Economists who’d agreed to agree.While the event did take place,It proved a disgrace;They agreed one plus one adds to
three.

Robley E. George

A joke on the streets of Moscow these days, according to World Bank
staffer John Nellis, goes this way: “Everything the Communists told us
about communism was a complete and utter lie. Unfortunately, everything
the Communists told us about capitalism turned out to be true.”

A Scorpion begged a Frog to carry him across the river because he could
not swim. The Frog hesitated for fearing being stung by the Scorpion. The
Scorpion said: “Don’t worry, you know I won’t sting you since we will both
get drowned if I do that”. So the Frog carried Scorpion across the river.
But in the middle of the river, it happened–the Frog got a sting. Before
he died, the Frog asked Scorpion in disbelief: “I don’t understand why
you did this!?” “Because I am not a game theorist and you are”, replied
the Scorpion.

Contributed by Ding Lu

A real story

Last year at the SEA meetings
in Baltimore, I was in the elevator and witnessed the following: the elevator
gets to the lobby, and there is a woman (economist) waiting to get in and
a man (economist) waiting to get out. The woman pauses to allow the man
to exit first, the man pauses to allow the woman to enter the elevator
first. After a couple of seconds of just standing there, they both make
a move for the door - but as each sees the other moving, they pause again
to allow the other to go first. More standing still occurs until finally
the door starts to close. The man in the elevator jabs his arm out at the
last instant to prevent the doors from closing, and the two stumble past
each other as they simultaneous switch places. The door finally closes,
and as the elevator starts to move the economist is heard to say, under
her breath, “Manners are never optimal.”- Edward Bierhanzl

A joke told at Kobe University

The new theorem was published
and it aroused discussion.

English : “Can you make this theorem
base on some experiences?”German : “Can you make this theorem
base on some basic theorems?”French : “Can you make this theorem
translate into French?”Japanese : “Is your teacher a famous
professor?”

INTEREST GROUP ECONOMIST VIRUS - Divides your hard disk into hundreds
of little units, each of which does practically nothing, but all of which
claim to be the most important part of the computer.ECONOMETRICIAN VIRUS - Sixty percent
of the PCs infected will lose 38 percent of their data 14 percent of the
time (plus or minus a 3.5 percent margin ofPOLITICAL THINK TANK ECONOMIST VIRUS

Doesn’t do anything, but you can’t get rid of it until next election.GOVERNMENT ECONOMIST VIRUS - nothing
works on your system, but all your diagnostic software says everything
is just fine.MARXIAN ECONOMIST VIRUS - Helps
your computer shut down whenever it wants to.

SOVIET ECONOMIST VIRUS - Crashes
your computer, but denies it ever happened.MAINSTREAM ECONOMIST VIRUS - It
claims it feels threatened by the other files on your PC and erases then
in “self-defense.”CENTRAL BANK ECONOMIST VIRUS - Makes
sure that it’s bigger than any other file.MULTINATIONAL CORPORATION ECONOMIST
VIRUS - Deletes all monetary files, but keeps smiling and sending messages
about how the economy is going to get better.SUPPLY SIDE ECONOMIST VIRUS - Puts
your computer to sleep for four years. When your computer wakes up, you’re
trillion more dollars in debt.NEW ECONOMY VIRUS - Also known as
the “Tricky Dick Virus.” You can wipe it out, but it always makes a comeback.ENVIRONMENTAL ECONOMIST VIRUS -
Before allowing you to delete any file, it first asks you if you’ve considered
the alternatives.

Two economists sit down to play
chess. They study the board for 24 hours and declare a stale-mate.

A friend of mine was taking a class by Milton Friedman at the U of
Chicago, and after a late night studying fell asleep in class. This sent
Friedman into a little tizzy and he came over and pounded on the table,
demanding an answer to a question he had just posed to the class, my friend,
shaken but now awake said “ I’m sorry Professor, I missed the question
but the answer is increase the money supply.”

We love it on the floor of the CBOT.

What does it take to be a good economist? An unshakeable grasp of the
obvious!

” I have come to appreaciate how Monetarists view the holiness of this
principle [‘Friedman’s x% rule’] by watching Friedman advising on the appropriate
monetary policy in diverse complex situations and each time coming up,
unfailingly, with the same practical answer: 3 percent.”-Franco ModiglianiContemporary Policy Issues (1988)
6 October

Robert M. Solow, addressing other economists on the Theory of Capital
in 1962, “I have long since abandoned the illusion that participants in
this debate actually communicate with one another. So I omit the standard
polemical introduction, and get down to business at once.” It’s good to
see an empirical economic discovery that has stood the test of time.

We all know what pareto optimal allocation
means… What about Jesus-optimal allocation – when all persons are equally
well off, and one person really gets it bad, worse off, while all the
rest are much better off…

Dostojevskij-minimum: When everyone is so bad off that no-one can be
worse off without anyone getting better off. (Beware of the second-order
condition!)

Achieving free trade is like getting to heaven. Everyone one wants
to get there, but not too soon.

Value of human capital

Engineers and scientists will never
make as much money as business executives. Now a rigorous mathematical
proof that explains why this is true:

Postulate 1: Knowledge is Power.Postulate 2: Time is Money.

As every engineer knows,

Work

———- = PowerTime

Since Knowledge = Power, and Time
=Money, we have

Work——— = KnowledgeMoney

Solving for Money, we get:

Work———– = Money

Knowledge

Thus, as Knowledge approaches zero,
Money approaches infinity regardless of the Work done.Conclusion: The Less you Know, the
more money you Make.

A traveller wandering on an island
inhabited entirely by cannibals comes upon a butcher shop. This shop specialised
in human brains differentiated according to source. The sign in the shop
read:

Upon reading the sign, the traveller
noted, “My those economists’ brains must be popular!” To which the butcher
replied, “Are you kidding! Do you have any idea how many economists you
have to kill to get a pound of brains?!”

HA! … It’s a supply side joke!

President Truman once said he wants
an economic adviser who is one handed. Why? Because normally the economists
giving him economic advice state “On one hand and on the other…”

The Commerce Department has a 46-page application packet for economists
to seeking to run its leading economic index, but the packet warns: “the
government will evaluate only the first 25 pages of a written proposal.”

The Wall Street Journal, July 21,
1995

In Canada there is a small radical group that refuses to speak english
and no one can understand them. They are called separatists. In this country
(USA) we have the same kind of group. They are called economists.

Nation’s Business

An economist was asked about the meaning of life. He replied:

It depends on the parameter values.

On the first day God created the sun - so the Devil countered and created
sunburn. On the second day God created sex. In response the Devil created
marriage. On the third day God created an economist. This was a tough one
for the Devil, but in the end and after a lot of thought he created a second
economist!CHEER February 1993

Three leading economists took a small plane to the wilderness in northern
Canada to hunt moose over the weekend. The last thing the pilot said was
, remember, this is a very small plane and you will only be able to bring
ONE moose back.

But of course, they killed one each
and come sunday, they talked the pilot into letting them bring all three
dead moose onboard. So just after takeoff, the plane stalled and crashed.
In the wreckage, one of the economists woke up, looked around and said.
where the hell are we. Oh, just about a hundred yards east of the place
there we crashed last year.

“Economic man” never gets a hang-over, if he doesn’t decide that the
advantages of acquiring it exceed the draw-backs.

Everybody has a comparative advantage in some respect, provided that
performances are not entirely in the third quadrant.

“This man is a first year economics student, so we can’t show you his
friends.” - Tim Ferguson, DAAS Farewell Tour, 1994

An Economist is someone who didn’t have enough personality to become
an accountant.

An economist is someone who knows 100 ways to make love, but doesn’t
know any women/men.

Q: What is a recent economics graduate’s usual question in his first
job?

A: What would you like to have with
your french fries sir?

An economist returns to visit his old school. He’s interested in the
current exam questions and asks his old professor to show some. To his
surprise they are exactly the same ones to which he had answered 10 years
ago! When he asks about this the professor answers: “the questions are
always the same - only the answers change!”

Economics is extremely useful as a form of employment for economists.

A central banker walks into a pizzeria to order a pizza.

When the pizza is done, he goes up
to the counter get it. There a clerk asks him: “Should I cut it into six
pieces or eight pieces?”

Reproduced below is an Economist
Joke that illustrates the separate facilities solution to an externality
problem.

Three guys decide to play a round
of golf: a priest, a psychologist, and an economist.

They get behind a very slow two-some,
who, despite a caddy, are taking all day to line up their shots and four-putting
every green, and so on. By the 8th hole, the three men are complaining
loudly about the slow play ahead and swearing a blue streak, and so on.
The priest says, “Holy Mary, I pray that they should take some lessons
before they play again.” The psychologist says, “I swear there are people
that like to play golf slowly.” The economist says, “I really didn’t expect
to spend this much time playing a round of golf.”

By the 9th hole, they have had it
with slow play, so the psychologist goes to the caddy and demands that
they be allowed to play through. The caddy says O.K., but then explains
that the two golfers are blind, that both are retired firemen who lost
their eyesight saving people in a fire, and that explains their slow play,
and would they please not swear and complain so loud.

The priest is mortified; he says,
“Here I am a man of the cloth and I’ve been swearing at the slow play of
two blind men.” The psychologist is also mortified; he says, “Here I am
a man trained to help others with their problems and I’ve been complaining
about the slow play of two blind men.”

The economist ponders the situation-finally
he goes back to the caddy and says, “Listen, the next time could they play
at night.”

A physicist, a chemist and an economist
are stranded on an island, with nothing to eat. A can of soup washes ashore.
The physicist says, “Lets smash the can open with a rock.” The chemist
says, “Lets build a fire and heat the can first.” The economist says, “Lets
assume that we have a can-opener…”

Paul Samuelson

Q: What’s the difference between a finance major and an economics major?

A: Opportunity Cost

An economist, a philosopher, a biologist,
and an architect were were arguing about what was God’s real profession.
The philosopher said, “Well, first and foremost, God is a philosopher because
he created the principles by which man is to live.” “Ridiculous!” said
the biologist “Before that, God created man and woman and all living things
so clearly he was a biologist.” “Wrong,” said the architect. “Before that,
he created the heavens and the earth. Before the earth, there was only
complete confusion and chaos!” “Well,” said the economist, “where do you
think the chaos came from?”

The First Law of Economists: For
every economist, there exists an equal and opposite economist.

The Second Law of Economists: They’re
both wrong.

pkm’s existence theorem: for every
finite set of answers there exists an infinite set of novel models

If all the economists were laid end to end

a) it would be a good thing

b) they would be more comfortable

c) they would never reach conclusion

d) all of the above

e) none of the above

f) they would point in different
directions

Two economists are walking down the street. One sees a dollar lying
on the sidewalk, and says so.

“Obviously not,” says the other.
“If there were, someone would have picked it up!”

PS. Replace the dollar with a relevant
research idea and you get a new joke.

We have 2 classes of forecasters: Those who don’t know … and those
who don’t know they don’t know.

- John Kenneth Galbraith

The experience of being proved completely
wrong is salutory. No economist should be denied it, and none are.- J K Galbraith

“Murphys law of economic policy”:
Economists have the least influence on policy where they know the most
and are most agreed; they have the most influence on policy where they
know the least and disagree most vehemently.

- Alan S. Blinder

An economist is an expert who will know tomorrow why the things he
predicted yesterday didn’t happen today.

- Laurence J. Peter

A study of economics usually reveals that the best time to buy anything
is last year.

- Marty Allen

Having a little inflation is like being a little pregnant–inflation
feeds on itself and quickly passes the “little” mark.

- Dian Cohen

I don’t think you can spend yourself rich.

- George Humphrey

If all economists were laid end to end they would not reach a conclusion.

- George Bernard Shaw

Practical men … are usually the slaves of some defunct economist.
economist

- John Maynard Keynes

If you put two economists in a room, you get two opinions, unless one
of them is Lord Keynes, in which case you get three opinions.

- Winston Churchill

Shall I tell you the opinion of a famous economist on jealousy? Jealousy
is just the fact of being deprived. Nothing more.

- Henry Becque

Stephen M. Goldfeld, in The Journal of Money, Credit and Banking.
November, 1984, p. 611: “An economist is someone who sees something working
in practice and asks whether it would work in principle.”

Economists don’t answer to questions others make because they know
what the answer is. They answer because they are asked.

There is also a joke about the last
Mayday parade in the Soviet Union. After the tanks and the troops and the
planes and the missiles rolled by there came ten men dressed in black.

“Are they Spies?” Asked Gorby?

“They are economists,” replies the
KGB director, “imagine the havoc they will wreak when we set them loose
on the Americans”

The mathematician’s child and the
economist’s child were in the third grade together, and the teacher asked,
“If one man with one shovel can dig a ditch in ten days, how long would
it take ten men with ten shovels to dig the same ditch?” Both children
raised their hands.

The teacher said to the mathematician’s
child, “Johnny, how long?” and little Johnny v. said, “One day, teacher.”

The teacher looked at the economist’s
child and said, “John Maynard, is that right?”

Little John Maynard said, “Teacher,
it all depends.”

Most of the following jokes were
forwarded to me by Russell Gum to whom I owe a big thanks.

“Having a house economist became
for many business people something like havinga resident astrologer for
the royal court: I don’t quite understand what this fellow is saying but
there must be something to it.” Linden. (Jan. 11, 1993). Dreary Days in
the Dismal Science. Forbes. Pp. 68-70.

The following joke is a joint invention
of Preston McAfee, Phil Reny and several so far anonymous writers.

Why God Never Received Tenure at
the University

1. Because he had only one major
publication.2. And it was in Hebrew.3. And it had no cited references.4. And it wasn’t published in a
refereed journal or even submitted for peer review.5. And some even doubt he wrote
it himself.

6. It may be true that he created
the world but what has he done since?7. His cooperative efforts have
been quite limited.8. The scientific community has
had a very rough time trying to replicate his results.9. He never applied to the Ethics
Board for permission to use human subjects.10. When one experiment went awry,
he tried to cover it up by drowning the subjects.11. When subjects didn’t behave
as predicted, he often punished them, or just deleted them from the sample.12. He rarely came to class, just
told students to read the book.13. He had his son teach the class.14. He expelled his first two students
for learning.

15. Although there were only ten
requirements, most students failed his tests.16. His office hours were infrequent
and usually held on a mountain top.

A sure fire way to determine if
someone is an economist: Ask the suspect “what’s the difference between
ignorance and indifference?” If the reply is “I don’t know and I don’t
care” you can be pretty sure its an economist. Now the only question is
what to do with him.

If an economist and an IRS agent were both drowning and you could only
save one of them, would you go to lunch or read the paper?

The National Institute of Health (NIH) announced that they were going
to start using economists instead of rats in their experiments. Naturally,
the American Agricultural Economics Association was outraged and filed
suit, but NIH presented some compelling reasons for the switch:

1) NIH lab assistants become very
attached to their rats. This emotional involvement was interfering with
the research being conducted. No such attachment could form for an economist.2) Economists breed faster.3) Economists are much cheaper to
care for and PETA won’t object regardless of the experiment.

4) There are some things even rats
won’t do.However, it is difficult to extrapolate
test results to human beings.

How many economists does it take to screw in a light bulb?

1. Just one, but it really gets screwed.2. One to prepare the proposal,
an econometrician to run the model, one each MS and PhD students to write
the theses and dissertations, two more to prepare the journal article (senior
authorship not assigned), four to review it, and at least as many to refine
the model and replicate the results.

Why do economists carry their diplomas on their dashboards?So they can park in the (morally/intellectually)
handicapped parking.

A guy walks into a DC curio shop. While browsing he comes across an
exquisite brass rat. “What a great gag gift” he thinks to himself. After
dickering with the shop keeper over the price, the man purchases the rat
and leaves. As he’s walking down the street, he hears scurrying noises
behind him. Stopping and looking around, he sees hundreds, then thousands
of rats pouring out of the alleys and stairwells into the street behind
him. In a panic he runs down the street with the rats not far behind. The
street ends at a pier; he runs to the end of the pier and heaves the brass
rat into the Potomac. All of the rats scurry past him into the river where
they drown. After breathing a sigh of relief and wiping his brow, the man
heads back to the curio shop, finds the shop keeper and asks, “Do you have
any brass economists?”

TEN THINGS TO DO WITH A GRADUATE ECONOMICS TEXTBOOK

1. Press pretty flowers.2. Press pretty insects.3. Use it as paper weight on your
already overcluttered desk.4. Leave out in obvious places to
impress uninformed undergraduates.5. Mail to the White House as an
intimidation tactic.6. Give it a walk-on part in a boring
European existentialist play.7. Just throw the damn thing away.8. Leave out for the rain and other
forces of nature to reckon with.9. Read it (ha ha ha), and weep.

10. Get a refund from bookstore
so you can buy weekend’s beer supply.

How can you tell when an economist is lying?His lips are moving.

Why won’t sharks attack economists?Professional courtesy.

Q: What do you get when you cross the Godfather with an economist?

A: An offer you can’t understand.

Q: How many economists does it take to change a light bulb?

A: Hell, you need a whole department
of them just to prepare the research grant.

They say that Christopher Columbus was the first economist. When he
left to discover America, he didn’t know where he was going. When he got
there he didn’t know where he was. And it was all done on a government
grant.

A grade school teacher was asking students what their parents did for
a living. “Tim, you be first. What does your mother do all day?”

Tim stood up and proudly said, “She’s
a doctor.”“That’s wonderful. How about you,
Amy?”Amy shyly stood up, scuffed her
feet and said, “My father is a mailman.”“Thank you, Amy” said the teacher.
“What does your parent do, Billy?”Billy proudly stood up and announced,1. “Nothing. He’s an economist.”2. “My daddy plays piano in a whorehouse.”
The teacher was aghast and went to Billy’s house and rang the bell. Billy’s
father answered the door. The teacher explained what his son had said and
demanded an explanation. Billy’s dad said, “I’m actually an economist.
How can I explain a thing like that to a seven-year-old?”

A Berkeley economist died and went to heaven (No, that’s not the joke).
There were thousands of people ahead of him in line to see St. Peter. To
his surprise, St. Peter left his desk at the gate and came down the long
line to where the economist was, and greeted him warmly. St. Peter took
the economist up to the front of the line, and into a comfortable chair
by his desk. The economist said, “I like all this attention, but what makes
ME so special?” St. Peter replied, “Well, I’ve added up all the hours for
which you billed your consultation clients, and by my calculation you’re
193 years old!”

A Chicago economist died in poverty and many local futures traders
donated to a fund for his funeral. The president of (the Merc, the Board
of Trade, etc.) was asked to donate a dollar. “Only a buck?” said the president,
“only a dollar to bury an economist? Here’s a check; go bury 1000 of them.”

An economist and a physician had a dispute over precedence. They referred
it to Diogenes, who gave it in favor of the economist as follows: “Let
the thief go first, and the executioner follow.”

What’s the difference between mathematics and economics?

Mathematics is incomprehensible;
economics just doesn’t make any sense.

A judge was hearing a drunk-driving case and the defendant, who had
both a record and a reputation for driving under the influence, demanded
a jury trial. It was nearly 4 p.m. and getting a jury would take time,
so the judge called a recess and went out in the hall looking to empanel
anyone available. He found a dozen economists and told them that they were
a jury. The economists thought this would be a novel experience (none had
ever been at a trial before, except as a defendent or an expert witness)
and followed the judge into the courtroom. The trial was over in about
10 minutes and it was very clear that the defendant was guilty. The jury
went into the jury-room, the judge started getting ready to go home, and
everyone waited. After three hours, the judge sent the bailiff into the
jury- room to see what was holding up the verdict. When the bailiff returned,
the judge said, “Well, have they arrived at a verdict yet?” The bailiff
shook his head and said, “Verdict? Hell, Judge, they’re still doing nominating
speeches for the foreman’s position!”

For three years, the young assistant professor took his vacations at
a country inn. He had an affair with the innkeeper’s daughter. Looking
forward to an exciting few days, he dragged his suitcase up the stairs
of the inn, then stopped short. There sat his lover with an infant on her
lap! “Why didn’t you write when you learned you were pregnant?” he cried.
“I would have rushed up here, we could have gotten married, and the child
would have my name!” “Well,” she said, “when my folks found out about my
condition, we sat up all night talkin’ and talkin’ and we finally decided
it would be better to have a bastard in the family than an economist.”

Santa Claus, the tooth fairy, a practical economist, and an old drunk
are walking down the street together when they simultaneously spot a hundred
dollar bill. Who gets it? The old drunk, of course, the other three are
mythological creatures.

A Harvard economist had a summer house in the Maine woods. Each summer
he’d invite a different friend (no, that’s not the punch line) to spend
a week or two. On one occasion, he invited a Czechoslovakian to stay with
him. They had a splendid time in the country - rising early and living
in the great outdoors. Early one morning they went out to pick berries
for their morning breakfast. As they went around the berry patch along
came two huge bears. The economist dashed for cover. His friend wasn’t
so lucky and the male bear reached him and swallowed him whole. The economist
ran back to his car, drove to town as fast has he could, and got the sheriff.
The sheriff grabbed his rifle and dashed back to the berry patch with the
economist. Sure enough, both bears were still there. “He’s in THAT one!”
cried the economist, pointing to the male. The sheriff looked at the bears,
and without batting an eye, leveled his gun, took careful aim, and SHOT
THE FEMALE. “Whatd’ya do that for?!” exclaimed the economist, “I said he
was in the other!” “Yep,” said the sheriff, “and would YOU believe a economist
who told you that the Czech was in the Male?”

WASHINGTON DC GOVERNMENT ECONOMIST HUNTING REGULATIONS AND BAG LIMITS

GENERAL

1. Any person with a valid Washington
DC hunting license or a Federal Income Tax Return may harvest government
economists.2. Taking of economists with traps
or deadfalls is permitted. The use of currency as bait is prohibited.3. Killing of economists with a
vehicle is prohibited. If one is accidentally struck, remove the dead economist
to side of the road and proceed to the nearest car wash.4. It is unlawful to chase, herd,
or harvest economists from limousines, Mercedes Benz’s, the Metro, or Porsches.5. It shall be unlawful to shout
“research contract” or “I need a policy consultant” for the purpose of
trapping economists.6. It shall be unlawful to hunt
economists within 100 feet of government buildings.7. It shall be unlawful to use decision
memos, draft legislation, conference reports, or RFP’s to attract economists.

8. It shall be unlawful to hunt
economists within 200 feet of Senate or House hearing rooms, libraries,
whorehouses, massage parlors, special interest group offices, bars, or
strip joints.9. If an economist is elected to
government office, it shall be a felony to hunt, trap, or possess it. It
will also be a shame.10. Stuffed or mounted economists
must have a DC Health Department inspection certificate for rabies and
vermin.11. It shall be illegal for a hunter
to disguise as a reporter, drug dealer, pimp, female congressional aid,
sheep, legislator, policy maker, bookie, lobbyist, or tax accountant for
the purpose of hunting economists.

Given 1000 economists, there
will be 10 theoretical economists with different theories on how to change
the light bulb and 990 empirical economists laboring to determine which
theory is the correct one, and everyone will still be in the dark.